With top talent comes the risk of losing them. This is especially true in sales, where research has shown that the annual turnover rate for salespeople is 20%. Your high performers are vital assets to the company. Therefore, you should do everything possible to keep them from thinking about pastures new. With that in mind, we’ve put together these tips for how to retain your sales team and keep everyone on the same page.
Sales team retention in a nutshell
- Offer competitive compensation
- Show a clear path for progression
- Build a culture
- Challenge your team
- Show excellent sales leadership
How to retain your sales team
Competitive compensation and rewards
Sometimes the obvious approach is the best one. Research from Glassdoor shows that 70% of reps’ primary motivators in changing jobs is salary and compensation. The saying goes, ‘it’s not all about the money’. But in reality, financial reward plays a massive role for most employees. That’s not to say you should overpay, but offering a competitive compensation plan will go a long way to keep sales reps from seeking a new challenge.
Show a clear path for progression
Cash might be king, but employees also want to see a roadmap to progression. Whether making headway in day-to-day challenges or having a clear long-term plan, progress needs to feel achievable, and career growth should always be on the agenda. This isn’t always a cut and paste approach, however, as reps are motivated by different goals. Ultimately, you want to show that working in your company will enhance their skill set, increase subject matter expertise and provide plenty of opportunities for professional development.
Build the right culture
We often talk about culture, whether defining it during the onboarding or implementing it across the entire company. It’s also one of the most obvious ways to retain your sales team. If your business is a great place to work, people will want to be part of the setup and contribute to the culture. Giving your sales reps the necessary tools to succeed in an environment designed to achieve success while caring about the individual will help boost your sales retention.
Challenging your sales team doesn’t mean creating a toxic culture. The best sales leaders keep their team motivated and engaged by setting high-level and important objectives. Consequently, employees feel they are making a tangible difference, and everyone is pulling in the same direction. Startup culture can feed into this mentality, as all those involved feel like they’re building something special and are committed to the cause in the right environment.
Be an excellent sales leader
People leave bad bosses, and the days of ruling with an iron fist are long gone. Sales reps look for good leadership to guide them and develop their skills. On top of that, they want a personable manager who understands how to manage humans. Being a good leader and displaying skills like the ability to collaborate, encourage creativity, communicate, and show empathy will have a positive impact on your team members and help with retention.
Retaining your sales team
If your company is a good place to work and looks after its people, then there’s no reason why you can’t build an excellent sales team committed to the long term. Through actions like offering competitive compensation, displaying a clear development path and building a thriving culture, you can retain your sales team and build a promising future.